Be responsive. What do I mean? Well, at any time, my agents are working with a handful of active buyers, plus some more “passive” types who have expressed interest in doing something but aren’t motivated. So, how do the agents decide whom to focus on? Simple: The more responsive and engaged buyers get the lion’s … Continue reading “How to get the best out of your buy-side agent”
Category: Brokerage
The brokerage is beginning to hit its stride
One of the things I wrestle with is how much time to devote to our brokerage operation. As many of you know, I supervise six agents who help investors buy and sell investment property in gentrifying parts of LA. Compared to our fund management business and our fee-for-service development business, the brokerage is tiny. To … Continue reading “The brokerage is beginning to hit its stride”
Why I (almost) always ask for retrofit
In Los Angeles, the law requires that every building that changes hands needs to have low-flow toilets and shower-heads installed in the bathrooms (to preserve water). The law is enforced by means of a single form that is required to be completed prior to close wherein a contractor, licensed plumber or real estate agent attests … Continue reading “Why I (almost) always ask for retrofit”
The difference between a loan broker and a direct lender
In our business, we frequently have clients come to us with pre-approvals from direct lenders like Bank of America, Wells, etc. The clients love the banks because they promise high loan amounts and low interest rates. And, on simple deals where there are no real issues with the borrower or the property, the direct lenders … Continue reading “The difference between a loan broker and a direct lender”
How to negotiate a price reduction
I really, really hate chipping price during escrow. Do you know what I mean by “chipping price”? It’s when the buyer, after doing his diligence, comes back and requests a price reduction from the seller in exchange for removing contingencies and moving forward with the deal. Why do I hate it? I do an enormous … Continue reading “How to negotiate a price reduction”
More on starting a real estate career
We now return to our regularly scheduled programming… Yesterday, I spent some time with a guy who is thinking about getting into the real estate business as an agent. I’ve written some about this before, which you can read here and various other places around the blog. But I found myself giving some new advice which I … Continue reading “More on starting a real estate career”
Wading through shit
That’s basically what we do all day. What do I mean? Well, we’re looking for mismanaged, run-down, incorrectly-priced assets for ourselves or our clients to buy. Very often, the processes we have to navigate to secure these screw-up assets are, to put it mildly, “non-standard”. This ain’t the kind of brokering they teach down at your friendly … Continue reading “Wading through shit”
Great listing!…Oh, wait
Just ran across a listing for what looks like a turn-key 4plex in East Hollywood priced at $1,095,000. The listing advertised a 12x GRM. Now, that’s not a great deal or anything, but at a little less, maybe 11.5x, it would probably work for someone. So, I prepared to shoot an email out to my … Continue reading “Great listing!…Oh, wait”
Am I a principal or a broker?
I get this question a ton, usually from brokers who are interested in figuring out a way to take both sides of the commission (by representing both the buyer and the seller). For the record, here’s my answer: 1. If you bring me a deal which is “off-market”, in the sense that it has not … Continue reading “Am I a principal or a broker?”
How you know when you’ve trained your agents well
At Adaptive, we take a very quantitative approach to brokering income property deals for our clients. I’ve personally trained all of our agents to focus first on the achievable yield on the downpayment and only after that on other, more qualitative factors. While this doesn’t guarantee that every deal will be a homerun, it does … Continue reading “How you know when you’ve trained your agents well”